OneClose and what it means for you
Jan 14th, 2021 | By FCT
New condo buyers are often unpleasantly surprised by Interim Occupancy Fees. But with our recent investment in OneClose, FCT has got your back. Buyers no longer have to worry about the interest accrued during the Interim Occupancy Period and lenders can feel more secure about issuing mortgages.
What is the Interim Occupancy Period?
The Interim Occupancy Period is the time between the date the builder says you can move in and the date the condo actually closes with the ownership transferred to you. During this “interim” period buyers have to pay Interim Occupancy Fees to the builder. This includes the interest on the remaining balance of the condo as well as property taxes and maintenance fees. It’s like paying rent on something you already own. This interim period can last from weeks to even years and can result in the loss of thousands of dollars.
How does OneClose benefit the buyer?
OneClose’s interim occupancy payment solution removes the need to pay interest on the unpaid balance of the purchase price by allowing new-build condominium buyers to obtain mortgage financing between the occupancy date provided by the builder and the date the condominium registers. Plus, as the exclusive title insurance provider for the Ontario-based solution, FCT provides new-build condominium buyers with a much-needed safety net of title insurance through their lawyer at the time of mortgage financing.
How does OneClose benefit the lender?
As the exclusive title insurance provider for the solution, FCT affords lenders the ability to securely advance mortgages at the time of interim occupancy and helps to facilitate the faster closing of deals. FCT’s title insurance policies also reduce the risk for OneClose’s network of trusted lenders at the time of purchase.
This investment in the OneClose Inc, solution aligns with FCT’s mission to drive value, efficiency and innovation across the real estate transaction and furthers our longstanding reputation as leaders in the industry.
While this solution is currently only available in Ontario, OneClose is looking to expand to other provinces.
For more information about the OneClose partnership with FCT, please click here.